Boom time for Soweto property

The South African township whose uprising became a turning point in the struggle against apartheid is enjoying a property boom.

House prices in Soweto rose by more than 35% last year, on top of an average annual increase of 16% since 2000, Standard Bank reports.

Once starved of development funds, Soweto now has new roads, street lights, water systems and transport as the result of 850m rand (£77m) spent by Johannesburg city council.

Crime is lower than in many formerly white-only suburbs. Electric security fences are conspicuous by their absence.

"Over the past couple of years Soweto has improved dramatically," said Jerry Gaesale Setlhare, the owner of a transport business. "I am proud of Soweto. It has more life to it than the white suburbs. When this house came up, I grabbed it."

Mr Setlhare remodelled his house to include a three storey atrium, a curving granite staircase, a swimming pool and a state-of-the-art kitchen. "Property values are increasing, so we can expect a good return on our investment," he said

"It used to be difficult to sell a property in Soweto, but now we are able to sell a house within three days because of growing demand," said Alex Molomo, an agent for Realty Executives.

But large parts of Soweto remain in poverty, and shacks and shanties still prevail.

"Zola and Emdeni are rougher areas, but even they are improving," Mr Molomo said. "People are buying two-roomed houses and expanding them."

Retail developers are following the property boom. The new Southgate and Dobsonville malls are bustling with shoppers. Five more malls are planned: surveys show that Soweto residents spend 80% of their 4.2 billion rand disposable income outside the township.

The places where violent incidents of racial oppression occurred have been commemorated as historic sites and the homes of former residents, famous and infamous, have become tourist attractions, including the Mandela family home museum, where Nelson Mandela lived and practised as a lawyer in the 1960s.

Nearby is the home of fellow Nobel prizewinner Archbishop Desmond Tutu.

"Even now people still remember that Soweto was the centre of the struggle," Mr Molomo said.

"We are very, very proud of that. We don't want to be bitter. We want to be relaxed and feel good.